Press releases pg. 17

Standard & Poor's rating agency has raised the long-term financial strength rating of CEZ Group from BBB+ to the new A- level. Such rating is idendical with the rating of the Czech Republic. CEZ holds the best rating of all power firms in the former Eastern bloc, the same as, for example, the Swedish power concern Vattenfall or the German power company EnBW. CEZ is also a holder of A2 rating from Moody´s.

The CEZ company entered, through the public declaration, into obligation to invest entire interest gained from selling saved emission permits into measures aimed to decrease emissions of greenhouse gases. Among others, it also pledged to systematically diminish impacts of its business activity on the environment, adopt measures for reducing emissions, support energy savings, and lower the economy demand for energies.

Sofia The CEZ power company and Bulgarian Privatization Agency (BPA) completed today the acquisition of 100% share in the Varna power station. Today, the CEZ transferred the agreed upon purchase price amounting to EUR 206 million to the BPA account, and, at the same time, 100% of the power station stock was transferred to the company of CEZ. The Varna power station extends the CEZ Group power generating capacity by 10 percent.

CEZ Group has acquired a licence for electricity trading in Serbia through its Serbian daughter company CEZ Serbija d.o.o. CEZ Group asked for the trading licence for Serbia with respect to the planned opening of the power market in the countries in South-Eastern Europe according to so called power association contract. The participating countries of South-Eastern Europe, including Serbia, underwrote to open regional power and gas markets, and so implement the union power guidelines and standards for environment protection by 2008.